AT&T Inc. (NYSE:T) shares rose more than 7% on Thursday following the company’s reported Q3 results, with EPS of $0.68 coming in better than the Street estimate of $0.61. Revenue was $30 billion, beating the Street estimate of $29.87 billion.

The strong quarterly performance contrasts against a backdrop of increased investor skepticism after the company lowered 2022 free cash flow guidance last quarter, highlighting concerns over inflation virtually all year to date. The company raised its adjusted EPS guidance and guided to the high end of the previous guidance for 4.5-5% wireless service revenue growth.

According to the analysts at Deutsche Bank, Q3 provided evidence that demonstrated management’s execution on the business plan, meeting/exceeding most of its operational and financial targets, and improving business performance.